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9 April 2024

What can an Employer of Record do for you in the UK?

Written by

Written by: Emily

Work Visa Specialist

Thinking about taking your business international or keen on tapping into the UK talent pool? Feeling overwhelmed by the complexities of setting up a UK entity? There is a smarter way.

 Partnering with the British Employer of Record makes this process easy and streamlines your international expansion

There’s a lot involved when it comes to starting a new branch or business in the UK from abroad. Whether you are a start-up venturing into the UK for the first time, moving staff there, or have employees who want to work from the UK, our Employer of Record services offer a smooth and compliant solution to build your team and find new opportunities.

In this article, we will tell you what an Employer of Record (EOR) does, how it helps with working across borders, and why it might be better than other options to hire globally.

What is an Employer of Record?

An Employer of Record helps connect your company and your employees. They take care of paying them, taxes, and insurance, while you keep your usual work relationship with your team. You, as an employer, pay the EOR for these services, which cover the cost of employing your staff and ensure everything is handled compliantly.

Businesses choose to engage with Employer of Record services for a variety of reasons. For example, emerging startups lacking specialised HR or payroll departments typically outsource these critical functions entirely. Additionally, businesses venturing into unfamiliar markets frequently rely on an EOR to ensure adherence to regional legal standards without the necessity of establishing a separate corporate entity on their own.

Why choose an Employer of Record?

Navigating a new market can be complex, especially when it comes to understanding and complying with local employment laws. Here’s how an Employer of Record can simplify your expansion into the UK:

1. Seamless market entry

Expanding your business presence into the UK doesn’t have to be a bureaucratic nightmare. With an Employer of Record, you can effectively hire in the UK, even without a physical company presence there. This partnership allows you to test the waters of a new market without the immediate need to establish a branch, saving you time and money.

2. Hassle-free hiring and HR management

From hiring to payroll, every aspect of managing a UK-based team is handled by your Employer of Record. This includes ensuring all employment practices comply with local laws and managing payroll and benefits. This means less paperwork for you and more time to focus on your business growth.

3. Tax and compliance expertise

Navigating the tax implications of hiring in the UK can be tricky. An Employer of Record offers expertise in local tax benefits, ensuring you’re not only compliant but also maximising potential financial advantages.

4. Work permits and visa assistance

For businesses looking to relocate existing employees or hire talent from abroad, dealing with visa applications and work permits can be overwhelming. An Employer of Record smooths out these processes, ensuring your team can legally work in the UK without delays or legal headaches.

How the employer, employee, and EOR work together

To make it more clear how the construction works, think of the image of a triangle. You, the employer, stand at one point, your employee occupies another point, and the Employer of Record is on the top. You keep working with your employees as usual, while the EOR handles all the legal and admin tasks. This helpful collaboration helps you work in new markets, support your team, and handle challenges from working internationally.

employer of record UK

Main benefits of using an Employer of Record

When considering global expansion, the traditional routes include setting up a new entity, hiring through staffing agencies, or engaging with freelancers. Each has its advantages, but here’s how Employer of Record in the UK stands out:

New entity vs. Employer of Record: 

Setting up a new business entity in the UK involves significant costs and legal complexities. An Employer of Record offers a streamlined, cost-effective alternative that lets you operate within weeks rather than months.

Staffing agencies vs. Employer of Record:

While staffing agencies are great for filling positions, they don’t handle the ongoing management of HR tasks. An Employer of Record takes care of the continuous management of your employees, ensuring compliance and reducing your administrative burden.

Freelancers vs. Employer of Record: 

Freelancers offer flexibility but come with less commitment and stability. An Employer of Record enables you to build a stable team with committed contracts, providing the foundation for sustained operations and growth.

Ready to Expand into the UK with Ease?

Think global, employ local: choosing British Employer of Record means embracing simplicity and efficiency in your global hiring and expansion strategy. Our mission is to facilitate seamless collaborations, allowing you to focus fully on running your business. Reach out today to discover how we can help you establish and grow your UK team effortlessly.

Dive into the UK market with a specialised Employer of Record in the UK by your side. Let’s start today!

Written by

Written by:

Emily | Work Visa Specialist

As a dedicated work visa specialist with a passion for global business mobility, she assists foreign companies in overcoming the UK's complex visa system as they expand their operations into the country. Her expertise in immigration law and international HR practices makes her an invaluable asset to businesses seeking to establish a presence in the UK. Despite calling London home, she's often jetting off to various corners of the world, combining her love for travel with her professional commitment to fostering cross-border employment opportunities.

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